Due to the tense geopolitical situation, combined with inflation and uncertain economic outlook, gold, as a safe-haven asset, has seen an increase of about 29% so far this year. The recent escalation of tensions in the Middle East has further pushed up the price of gold, with spot gold prices breaking through $2,680, challenging the September high of $2,685.
Many investors are now watching closely to see if the upward trend in gold prices can last until the end of 2024 and whether the price of gold will surpass $3,000.
According to a report by CBS NEWS, Steven Kibbel, a financial planner at InternationalMoneyTransfer, believes that the price of gold in 2024 could reach $3,000, but a more realistic price would be $2,800.
Kibbel pointed out that many countries are implementing interest rate cuts and with unstable economic performances, this could push up the price of gold.
On the other hand, Ed Mahaff, the president of ClientFirst Wealth Management, remains cautious. He anticipates that after the surge in gold prices this year, the price will stabilize and fluctuate within a range of 5% to 7% around recent highs.
Ruhee Rathod, the Chief Operating and Financial Officer of jewelry company Bario Neal, believes that the current trend among investors towards diversified asset allocation may further drive up the price of gold.
Rathod suggested that in 2024, the price of gold could likely reach $2,850 per ounce, and possibly cross the $3,000 mark by the beginning of 2025.
The London Bullion Market Association (LBMA) is currently holding its annual conference in Miami, USA, where representatives expect that by the end of October next year, the average price of gold will rise to $2,917.4 per ounce, representing a 10% increase from current levels.
LBMA representatives also estimate that the price of silver will rise by more than 40% next year, reaching $45 per ounce, outperforming gold.